NOS, S.G.P.S., S.A. (ELI:NOS) Second-Quarter Results Just Came Out: Here's What Analysts Are Forecasting For This Year
Last week, you might have seen that NOS, S.G.P.S., S.A. (ELI:NOS) released its second-quarter result to the market. The early response was not positive, with shares down 3.8% to €4.72 in the past week. Results were roughly in line with estimates, with revenues of €458m and statutory earnings per share of €0.48. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, NOS S.G.P.S' nine analysts currently expect revenues in 2026 to be €1.87b, approximately in line with the last 12 months. Statutory earnings per share are expected to sink 16% to €0.44 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of €1.85b and earnings per share (EPS) of €0.41 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
Check out our latest analysis for NOS S.G.P.S
The consensus price target was unchanged at €4.79, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic NOS S.G.P.S analyst has a price target of €6.50 per share, while the most pessimistic values it at €3.50. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that NOS S.G.P.S' revenue growth is expected to slow, with the forecast 4.0% annualised growth rate until the end of 2026 being well below the historical 5.8% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 2.4% per year. So it's pretty clear that, while NOS S.G.P.S' revenue growth is expected to slow, it's still expected to grow faster than the industry itself.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards NOS S.G.P.S following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €4.79, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on NOS S.G.P.S. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for NOS S.G.P.S going out to 2028, and you can see them free on our platform here..
You should always think about risks though. Case in point, we've spotted 3 warning signs for NOS S.G.P.S you should be aware of, and 1 of them doesn't sit too well with us.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.